EX-99.1 2 a4q2022earningsrelease.htm 4Q2022 EARNINGS RELEASE Document






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First Horizon Corporation Reports Fourth Quarter 2022 Net Income Available to Common Shareholders of
$258 Million, or EPS of $0.45; $293 Million, or $0.51, on an Adjusted Basis*

Pre-provision net revenue down 7% from the prior quarter and up 5% on an adjusted basis*

ROTCE of 19.1% and adjusted ROTCE of 21.7% with tangible book value per share of $10.23*

MEMPHIS, TN (January 18, 2023) – First Horizon Corporation (NYSE: FHN or “First Horizon”) today reported fourth quarter net income available to common shareholders ("NIAC") of $258 million, or earnings per share of $0.45, compared with third quarter 2022 NIAC of $257 million, or earnings per share of $0.45.

Fourth quarter 2022 results were reduced by a net $34 million after-tax, or $0.06 per share, of notable items compared with a net $5 million, or $0.01 per share, increase in third quarter 2022. Excluding notable items, adjusted fourth quarter 2022 NIAC of $293 million, or $0.51 per share, increased from $252 million, or $0.44 per share in third quarter 2022.

Full year 2022 NIAC of $868 million, or earnings per share of $1.53, compares with $962 million, or earnings per share of $1.74, in 2021, largely reflecting the impact of provision expense. 2022 results included a net $82 million after-tax reduction, or $0.15, from notable items compared with $179 million, or $0.32 per share, in 2021. On an adjusted basis, full year 2022 NIAC of $950 million, or earnings per share of $1.68, compares with NIAC of $1.1 billion, or earnings per share $2.07 in 2021.    

“Our results for the quarter and year reflect the strength of our markets and the continued momentum of our attractive business mix,” said Chairman and Chief Executive Officer Bryan Jordan. “Amidst global uncertainty and a challenging macroeconomic landscape, we delivered exceptional net interest income, net interest margin, strong loan growth, and successfully achieved our annualized net cost save target of two hundred million.”

Jordan continued, “I am incredibly proud of our associates for their steadfast commitment to drive value for our clients, communities, and shareholders as we look forward to completing the pending transaction with The Toronto-Dominion Bank (TD).”

Notable Items
Quarterly/Annually, Unaudited ($s in millions, except per share data)4Q223Q224Q2120222021
Summary of Notable Items:
IBKC:
Purchase accounting gain/(loss)*$— $— $— $— $(1)
Other noninterest income— — 4 1 5 
Merger/acquisition expense(4)(3)(38)(49)(187)
Total IBKC merger-acquisition-related items(4)(3)(35)(48)(183)
TD:
Transaction-related expense(31)(21)— (87)— 
Total TD transaction-related items(31)(21)— (87)— 
Total Net Merger/acquisition/transaction-related items(36)(24)(35)(135)(183)
Other notable items:
Gain/(loss) on TruPS redemption (other noninterest income)— — (3)— (26)
Gain on mortgage servicing rights (mortgage banking and title)— — — 12 — 
Gain on sale of title services business (other noninterest income)1 21 — 22 — 
Gain related to equity securities investment (other noninterest income)— 10 — 16 — 
Other notable expenses(10)— (16)(22)(26)
Total other notable items (9)31 (19)28 (52)
Total Notable items (pre-tax)(45)7 (54)(107)235 
Total Notable items (after-tax)$(34)$5 $(41)$(82)$(179)
EPS impact of notable items$(0.06)$0.01 $(0.08)$(0.15)$(0.32)
Numbers may not foot due to rounding. * Purchase accounting gain is nontaxable income.
*ROTCE, PPNR, Core net interest income (NII), tangible book value per share, loans and leases excluding PPP and/or LMC, and "Adjusted" results are Non-GAAP Financial Measures; NII, Total Revenue, NIM and PPNR are presented on a fully taxable equivalent basis; References to loans include leases and EPS are based on diluted shares; Capital ratios are preliminary. See page 7 for information on our use of Non-GAAP measures and their reconciliation to GAAP beginning on page 23.
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Fourth quarter pre-tax net notable items include TD transaction-related costs of $31 million, and IBKC merger-related expense of $4 million. Other notable items reflect $10 million tied to derivative valuation adjustments related to prior Visa Class-B share sales and a $1 million additional gain on the sale of the title services business.


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Fourth Quarter 2022 Versus Third Quarter 2022 Highlights
•Total revenue of $882 million increased $7 million and adjusted revenue of $885 million increased $38 million, or 4%, reflecting strength in net interest income.
•Net interest income of $709 million increased $47 million, or 7%, despite a $6 million reduction in net merger-related and PPP benefits. Core net interest income was up $53 million as the benefit of higher rates and loan balances was partially offset by higher funding costs.
•Noninterest income of $174 million decreased $39 million and adjusted noninterest income of $173 million decreased $8 million as higher deferred compensation income and other noninterest income was more than offset by reductions in fixed income and mortgage banking.
•Noninterest expense of $503 million increased $35 million and adjusted noninterest expense of $458 million increased $14 million largely as a $10 million increase in other noninterest income and a $9 million increase in deferred compensation expense was partially offset by a reduction in salaries and employee benefits.
•Provision expense of $45 million compared with $60 million in third quarter 2022 reflects the impact of loan growth and revised macroeconomic outlook. 4Q22 provision includes reduction in losses expected from Hurricane Ian.
•Average interest-earning assets of $72.8 billion decreased $3.2 billion largely as a $1.0 billion increase in loans was more than offset by a $3.7 billion decrease in interest-bearing deposits with banks and a $0.2 billion decrease in investment securities.
•Average loans before the impact of PPP up $1.1 billion as an increase in commercial balances and consumer real estate was partially offset by a $617 million decrease in loans to mortgage companies ("LMC").
•Period-end loans before the impact of PPP increased $801 million, or 1%, driven by a $419 million increase in commercial. Period-end commercial loans excluding PPP and LMC rose 2%.
•Average deposits of $64.9 billion decreased $3.3 billion, or 5%, driven by a $1.7 billion decrease in DDA and a $1.1 billion decrease in savings. Total deposit costs of 69 basis points increased 44 basis points.
•Allowance for credit losses ("ACL") to loans ratio of 1.33% remained relatively stable compared to 1.31% at September 30, 2022. The ACL to nonperforming loans ratio of 244% decreased from 258% at September 30, 2022.
•Net charge-offs of $26 million increased $14 million; nonperforming loans of $316 million increased 8% linked quarter and the nonperforming loan ratio of 0.54% increased from 0.51% at September 30, 2022.
•ROCE of 14.4%; ROTCE of 19.1%; Adjusted ROTCE of 21.7%; CET 1 ratio of 10.2%; and total capital ratio of 13.3%.
•Tangible book value per share of $10.23 at December 31, 2022 compared with $9.72 at September 30, 2022 and reflected a $0.57 increase tied to adjusted NIAC and a $0.15 increase tied to MTM valuation adjustments on AFS securities and cash flow hedges.
Strategic Update
IBKC Merger
•Achieved $200 million of targeted annualized net cost saves target in 4Q22.
Pending Acquisition by TD
•TD expects the deal to close in the first half of its 2023 fiscal year, subject to the receipt of required regulatory approvals and satisfaction of other closing conditions.
•Continued progress on integration planning and Legal Day One readiness.


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SUMMARY RESULTS
Quarterly, Unaudited
4Q22 Change vs.
($s in millions, except per share and balance sheet data)4Q223Q224Q213Q224Q21
$/bp%$/bp%
Income Statement
Interest income - taxable equivalent1
$860 $737 $534 $123 17 %$326 61 %
Interest expense- taxable equivalent1
148 71 33 77 108 115 NM
Net interest income- taxable equivalent712 666 502 46 7 210 42 
Less: Taxable-equivalent adjustment4 4 3 — — 1 33 
Net interest income709 662 498 47 7 211 42 
Noninterest income174 213 247 (39)(18)(73)(30)
      Total revenue882 875 745 7 1 137 18 
Noninterest expense503 468 528 35 7 (25)(5)
Pre-provision net revenue3
379 406 217 (27)(7)162 75 
Provision for credit losses45 60 (65)(15)(25)110 NM
Income before income taxes334 346 282 (12)(3)52 18 
Provision for income taxes64 78 53 (14)(18)11 21 
Net income270 268 229 2 1 41 18 
Net income attributable to noncontrolling interest4 3 3 1 33 1 33 
Net income attributable to controlling interest266 265 227 1 — 39 17 
Preferred stock dividends8 8 8 — — — — 
Net income available to common shareholders$258 $257 $219 $1 — %$39 18 %
Adjusted net income4
$304 $263 $270 $41 16 %$34 13 %
Adjusted net income available to common shareholders4
$293 $252 $260 $41 16 %$33 13 %
Common stock information
EPS$0.45 $0.45 $0.40 $— — %$0.05 13 %
Adjusted EPS4
$0.51 $0.44 $0.48 $0.07 16 %$0.03 6 %
Diluted shares8
572 570 542 2 — %30 6 %
Key performance metrics
Net interest margin3.89 %3.49 %2.42 %40 bp147 bp
Efficiency ratio57.07 53.56 70.88 351 (1,381)
Adjusted efficiency ratio4
51.70 52.42 63.31 (72)(1,161)
Effective income tax rate19.19 22.58 18.63 (339)56 
Return on average assets1.35 1.29 1.02 6 33 
Adjusted return on average assets4
1.52 1.27 1.21 25 31 
Return on average common equity (“ROCE")14.4 13.9 11.3 57 316 
Return on average tangible common equity (“ROTCE”)4
19.1 18.2 14.7 91 442 
Adjusted ROTCE4
21.7 17.9 17.5 379 417 
Noninterest income as a % of total revenue19.68 24.30 33.10 (462)(1,342)
Adjusted noninterest income as a % of total revenue4
19.55 %21.37 %32.95 %(182)bp(1,340)bp
Balance Sheet (billions)
Average loans$57.6 $56.5 $54.7 $1.0 2 %$2.9 5 %
Average deposits64.9 68.1 74.6 (3.3)(5)(9.7)(13)
Average assets79.5 82.6 89.0 (3.0)(4)(9.5)(11)
Average common equity$7.1 $7.4 $7.7 $(0.3)(3)%$(0.6)(8)%
Asset Quality Highlights
Allowance for credit losses to loans and leases1.33 %1.31 %1.34 %2 bp(1)bp
Net charge-off ratio0.18 0.08 0.01 9 17 
Nonperforming loan and leases ratio0.54 %0.51 %0.50 %4 bp4 bp
Capital Ratio Highlights (current quarter is an estimate)
Common Equity Tier 110.2 %9.9 %9.9 %24 bp25 bp
Tier 111.9 11.7 11.0 22 88 
Total Capital13.3 13.1 12.3 24 99 
Tier 1 leverage10.4 %9.8 %8.1 %57 bp228 bp
Numbers may not foot due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 22.


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SUMMARY RESULTS
Annual, Unaudited
($s in millions, except per share and balance sheet data)202220212022 vs. 2021
$/bp%
Income Statement
Interest income - taxable equivalent1
$2,696 $2,170 $526 24 %
Interest expense- taxable equivalent1
292 163 129 79 
Net interest income- taxable equivalent2,405 2,006 399 20 
Less: Taxable-equivalent adjustment13 12 1 8 
Net interest income2,392 1,994 398 20 
Noninterest income816 1,076 (260)(24)
      Total revenue3,208 3,070 138 4 
Noninterest expense1,953 2,095 (142)(7)
Pre-provision net revenue4
1,254 975 279 29 
Provision for credit losses5
95 (310)405 131 
Income before income taxes1,159 1,285 (126)(10)
Provision for income taxes247 274 (27)(10)
Net income912 1,010 (98)(10)
Net income attributable to noncontrolling interest12 11 1 9 
Net income attributable to controlling interest900 999 (99)(10)
Preferred stock dividends32 37 (5)(14)
Net income available to common shareholders$868 $962 $(94)(10)
Adjusted net income5
$994 $1,189 $(196)(17)
Adjusted net income available to common shareholders5
$950 $1,140 $(190)(17)%
Common stock information
EPS$1.53 $1.74 $(0.21)(12)%
Adjusted EPS5
$1.68 $2.07 $(0.39)(19)%
Diluted shares566 551 15 3 %
Key performance metrics
Net interest margin3.10 %2.48 %62 bp
Efficiency ratio60.90 68.25 (735)
Adjusted efficiency ratio6
56.64 60.64 (400)
Effective income tax rate21.32 21.36 (4)
Return on average assets1.08 1.15 (7)
Adjusted return on average assets6
1.18 1.36 (18)
Return on average common equity (“ROCE")11.8 12.5 (72)
Return on average tangible common equity (“ROTCE”)6
15.6 16.5 (88)
Adjusted ROTCE6
17.0 19.3 (233)
Noninterest income as a % of total revenue25.44 35.04 (960)
Adjusted noninterest income as a % of total revenue6
24.14 %36.38 %(1,224)bp
Balance Sheet (billions)
Average loans$56.0 $56.3 $(0.3)(1)%
Average deposits69.7 73.1 (3.4)(5)
Average assets84.2 87.6 (3.4)(4)
Average common equity$7.3 $7.7 $(0.3)(4)%
Asset Quality Highlights
Allowance for credit losses to loans and leases1.33 %1.34 %(1)bp
Net charge-off ratio0.11 %— 11 
Nonperforming loan and leases ratio0.54 %0.50 %4 bp
Capital Ratio Highlights (current quarter is an estimate)
Common Equity Tier 110.2 %9.9 %24 bp
Tier 111.9 11.0 22 
Total Capital13.3 12.3 24 
Tier 1 leverage10.4 %8.1 %57 bp
Numbers may not foot due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 22.



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Fourth Quarter 2022 versus Third Quarter 2022
Net interest income
Net interest income of $709 million increased $47 million despite a $6 million reduction tied to net merger-related and PPP benefits. Core net interest income increased $53 million as the benefit of higher rates and loan balances was partially offset by higher funding costs. Net interest margin of 3.89% improved 40 basis points largely as the benefit of higher rates, loan growth and lower cash was partially offset by the impact of higher funding costs.

Noninterest income
Noninterest income of $174 million decreased $39 million and included a $31 million decrease in the benefit of notable items. Adjusted noninterest income of $173 million decreased $8 million reflecting reductions in fixed income and mortgage banking partially offset by an increase in deferred compensation. Fixed income average daily revenue of $403 thousand compared with $524 thousand in third quarter 2022 reflecting the impact of increasing interest rates, macro economic uncertainty and market volatility.

Noninterest expense
Noninterest expense of $503 million increased $35 million and included a $21 million increase in notable items. Adjusted noninterest expense of $458 million increased $14 million largely as higher deferred compensation expense and other noninterest expense was partially offset by a reduction in salaries and employee benefits. Linked quarter trends also reflect a $4 million benefit tied to incremental IBKC merger cost savings.

Loans and leases
Average loan and lease balances of $57.6 billion increased $1.0 billion reflecting a 1% increase in commercial and a 3% increase in consumer. Commercial loan growth reflected a $442 million increase in commercial and industrial and a $169 million increase in commercial real estate. Consumer loan growth increased $411 million compared to the prior quarter, driven by a $416 million increase in consumer real estate. Results reflect a $617 million reduction in loans to mortgage companies ("LMC") and a $83 million decrease in PPP loans. Loan balances excluding PPP and LMC increased $1.8 billion compared to the prior quarter, driven by a $1.3 billion increase in commercial.

Period-end loans and leases of $58.1 billion increased $0.7 billion from third quarter 2022, reflecting a 1% increase in commercial and a 3% increase in consumer. Before the impact of PPP and LMC, period-end loans increased $1.3 billion, or 2%, driven by a $0.9 billion increase in all other commercial loans.

Deposits
Average deposits of $64.9 billion decreased $3.3 billion, or 5%. Period-end deposits of $63.5 billion decreased $2.5 billion reflecting a $2.3 billion decrease in noninterest-bearing and a $0.2 billion decrease in interest-bearing. Total deposit costs of 69 basis points increased 44 basis points with a 70 basis point increase in interest-bearing deposit costs.

Asset quality
Provision expense of $45 million compared with $60 million in third quarter 2022 reflects the impact of loan growth and revised macroeconomic outlook. 4Q22 provision includes reduction in losses expected from Hurricane Ian.

Net charge-offs of $26 million, or 18 basis points, compared with $12 million, or 8 basis points in third quarter 2022.

Nonperforming loans of $316 million increased $24 million. Fourth quarter 2022 ACL to nonperforming loans coverage ratio of 244% compared with 258% in third quarter 2022.

The ACL to loans ratio increased to 1.33% from 1.31% in the third quarter 2022.


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Capital
CET1 ratio of 10.2% in fourth quarter 2022 compared with 9.9% in third quarter 2022. Total capital ratio of 13.3% vs. 13.1% in third quarter 2022.

Income taxes
The fourth quarter 2022 effective tax rate of 19.2% compares with 22.6% in third quarter 2022. On an adjusted basis, the effective tax rate of 19.8% in the fourth quarter 2022 improved from 22.4% in third quarter 2022.

Forward-Looking Statements
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Forward-looking statements pertain to FHN's beliefs, plans, goals, expectations, and estimates. Forward-looking statements are not a representation of historical information, but instead pertain to future operations, strategies, financial results, or other developments. Forward-looking statements can be identified by the words “believe,” “expect,” “anticipate,” “intend,” “estimate,” “should,” “is likely,” “will,” “going forward,” and other expressions that indicate future events and trends.

Forward-looking statements are necessarily based upon estimates and assumptions that are inherently subject to significant business, operational, economic, and competitive uncertainties and contingencies, many of which are beyond FHN’s control, and many of which, with respect to future business decisions and actions (including acquisitions and divestitures), are subject to change and could cause FHN’s actual future results and outcomes to differ materially from those contemplated or implied by forward-looking statements or historical performance. Examples of uncertainties and contingencies include those mentioned: in this document; in Items 2.02 and 7.01 of FHN’s Current Report on Form 8-K to which this document has been filed as an exhibit; in the forepart, and in Items 1, 1A, and 7, of FHN’s most recent Annual Report on Form 10-K, as amended; and in the forepart, and in Item 1A of Part II, of FHN’s Quarterly Report(s) on Form 10-Q filed this year.

FHN assumes no obligation to update or revise any forward-looking statements that are made in this document or in any other statement, release, report, or filing from time to time.

Use of Non-GAAP Measures and Regulatory Measures that are not GAAP

Certain measures included in this report are “non-GAAP,” meaning they are not presented in accordance with generally accepted accounting principles in the U.S. and also are not codified in U.S. banking regulations currently applicable to FHN. Although other entities may use calculation methods that differ from those used by FHN for non-GAAP measures, FHN’s management believes such measures are relevant to understanding the financial condition, capital position, and financial results of FHN and its business segments. Non-GAAP measures are reported to FHN’s management and Board of Directors through various internal reports.

The non-GAAP measures presented in this earnings release are fully taxable equivalent measures, core net interest income ("NII"), pre-provision net revenue ("PPNR"), loans and leases excluding paycheck protection program ('PPP") and/or Loans to Mortgage Companies ("LMC"), return on average tangible common equity (“ROTCE”), tangible common equity (“TCE”) to tangible assets (“TA”), tangible book value ("TBV") per common share, and various consolidated and segment results and performance measures and ratios adjusted for notable items.

Presentation of regulatory measures, even those which are not GAAP, provide a meaningful base for comparability to other financial institutions subject to the same regulations as FHN, as demonstrated by their use by banking regulators in reviewing capital adequacy of financial institutions. Although not GAAP terms, these regulatory measures are not considered “non-GAAP” under U.S. financial reporting rules as long as their presentation conforms to regulatory standards. Regulatory measures used in this financial supplement include: common equity tier 1 capital ("CET1"), generally defined as common equity less goodwill, other intangibles, and certain other required regulatory deductions; tier 1 capital, generally defined as the sum of core capital (including common
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equity and instruments that cannot be redeemed at the option of the holder) adjusted for certain items under risk based capital regulations; and risk-weighted assets, which is a measure of total on- and off-balance sheet assets adjusted for credit and market risk, used to determine regulatory capital ratios.

Refer to the tabular reconciliation of non-GAAP to GAAP measures and presentation of the most comparable GAAP items, beginning on page 23.

First Horizon Corp. (NYSE: FHN), with $79.0 billion in assets as of December 31, 2022, is a leading regional financial services company, dedicated to helping our clients, communities and associates unlock their full potential with capital and counsel. Headquartered in Memphis, TN, the banking subsidiary First Horizon Bank operates in 12 states across the southern U.S. The Company and its subsidiaries offer commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking services. First Horizon has been recognized as one of the nation's best employers by Fortune and Forbes magazines and a Top 10 Most Reputable U.S. Bank. More information is available at www.FirstHorizon.com.

Contact: Investor Relations - investorrelations@firsthorizon.com
Media Relations - Beth.Ardoin@firsthorizon.com
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CONSOLIDATED INCOME STATEMENT
Quarterly, Unaudited
     4Q22 Change vs.2022 vs 2021
($s in millions, except per share data)4Q223Q222Q221Q224Q213Q224Q2120222021
$ %$ %$%
Interest income - taxable equivalent1
$860 $737 $586 $513 $534 $123 17 %$326 61 %$2,696 $2,170 $526 24 %
Interest expense- taxable equivalent1
148 71 41 31 33 77 108 115 NM 292 163 129 79 
Net interest income- taxable equivalent712 666 545 482 502 46 7 210 42 2,405 2,006 399 20 
Less: Taxable-equivalent adjustment4 4 3 3 3 — — 1 33 13 12 1 8 
Net interest income709 662 542 479 498 47 7 211 42 2,392 1,994 398 20 
Noninterest income:
Fixed income35 46 51 73 82 (11)(24)(47)(57)205 406 (201)(50)
Mortgage banking and title4 9 34 22 28 (5)(56)(24)(86)68 154 (86)(56)
Brokerage, trust, and insurance33 34 36 37 36 (1)(3)(3)(8)141 141 — — 
Service charges and fees56 56 57 57 56 — — — — 226 219 7 3 
Card and digital banking fees20 21 23 20 19 (1)(5)1 5 84 78 6 8 
Deferred compensation income7 (3)(17)(4)— 10 NM 7 NM (17)13 (30)NM
Other noninterest income20 50 16 24 25 (30)(60)(5)(20)110 66 44 67 
Total noninterest income174 213 201 229 247 (39)(18)(73)(30)816 1,076 (260)(24)
Total revenue882 875 743 707 745 7 1 137 18 3,208 3,070 138 4 
Noninterest expense:
Personnel expense:
Salaries and benefits178 186 190 190 190 (8)(4)(12)(6)743 767 (24)(3)
Incentives and commissions97 92 93 94 93 5 5 4 4 376 423 (47)(11)
Deferred compensation expense7 (2)(18)(5)7 9 NM — — (18)20 (38)NM
Total personnel expense281 275 265 280 290 6 2 (9)(3)1,101 1,210 (109)(9)
Occupancy and equipment2
71 71 73 72 74 — — (3)(4)286 300 (14)(5)
Outside services70 66 70 84 81 4 6 (11)(14)290 290 — — 
Amortization of intangible assets13 13 13 13 14 — — (1)(7)51 56 (5)(9)
Other noninterest expense69 44 68 44 70 25 57 (1)(1)225 239 (14)(6)
Total noninterest expense503 468 489 493 528 35 7 (25)(5)1,953 2,095 (142)(7)
Pre-provision net revenue3
379 406 255 215 217 (27)(7)162 75 1,254 975 279 29 
Provision for credit losses45 60 30 (40)(65)(15)(25)110 NM 95 (310)405 131 
Income before income taxes334 346 225 255 282 (12)(3)52 18 1,159 1,285 (126)(10)
Provision for income taxes64 78 48 57 53 (14)(18)11 21 247 274 (27)(10)
Net income270 268 177 198 229 2 1 41 18 912 1,010 (98)(10)
Net income attributable to noncontrolling interest4 3 3 3 3 1 33 1 33 12 11 1 9 
Net income attributable to controlling interest266 265 174 195 227 1 — 39 17 900 999 (99)(10)
Preferred stock dividends8 8 8 8 8 — — — — 32 37 (5)(14)
Net income available to common shareholders$258 $257 $166 $187 $219 $1 — %$39 18 %$868 $962 $(94)(10)%
Common Share Data
EPS$0.48 $0.48 $0.31 $0.35 $0.41 $— — %$0.07 18 %$1.62 $1.76 $(0.14)(8)%
Basic shares536 536 535 533 537 — — (1)— 535 546 (11)(2)
Diluted EPS$0.45 $0.45 $0.29 $0.34 $0.40 $— — $0.05 13 $1.53 $1.74 $(0.21)(12)
Diluted shares8
572 570 569 550 542 2 — %30 6 %566 551 15 3 %
Effective tax rate19.2 %22.6 %21.3 %22.4 %18.6 %21.3 %21.4 %
Numbers may not foot due to rounding. See footnote disclosures on page 22.
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ADJUSTED5 FINANCIAL DATA - SEE NOTABLE ITEMS ON PAGE 11
Quarterly, Unaudited
     4Q22 Change vs.2022 vs 2021
($s in millions, except per share data)4Q223Q222Q221Q224Q213Q224Q2120222021
$%$%$%
Net interest income (FTE)1
$712 $666 $545 $482 $502 $46 7 %$210 42 %$2,405 $2,006 $399 20 %
Adjusted noninterest income:
Fixed income35 46 51 73 82 (11)(24)(47)(57)205 406 (201)(50)
Adjusted mortgage banking and title4 9 22 22 28 (5)(56)(24)(86)56 154 (98)(64)
Brokerage, trust, and insurance33 34 36 37 36 (1)(3)(3)(8)141 141 — — 
Service charges and fees56 56 57 57 56 — — — — 226 219 7 3 
Card and digital banking fees20 21 23 20 19 (1)(5)1 5 84 78 6 8 
Deferred compensation income7 (3)(17)(4)— 10 NM 7 NM (17)13 (30)NM
Adjusted other noninterest income20 18 15 18 25 2 11 (5)(20)71 89 (18)(20)
Adjusted total noninterest income$173 $181 $188 $223 $246 $(8)(4)%$(73)(30)%$765 $1,099 $(334)(30)%
Total revenue (FTE)1
$885 $847 $733 $704 $748 $38 4 %$137 18 %$3,170 $3,105 $65 2 %
Adjusted noninterest expense:
Adjusted personnel expense:
Adjusted salaries and benefits$178 $185 $190 $188 $189 $(7)(4)%$(11)(6)%$741 $766 $(25)(3)%
Adjusted Incentives and commissions70 68 71 92 84 2 3 (14)(17)301 367 (66)(18)%
Adjusted deferred compensation expense7 (2)(18)(5)1 9 NM 6 NM (18)14 (32)NM
Adjusted total personnel expense254 251 244 275 274 3 1 (20)(7)1,024 1,147 (123)(11)%
Adjusted occupancy and equipment2
71 70 72 72 73 1 1 (2)(3)284 294 (10)(3)%
Adjusted outside services64 64 61 59 66 — — (2)(3)248 241 7 3 %
Adjusted amortization of intangible assets12 12 12 12 13 — — (1)(8)48 53 (5)(9)%
Adjusted other noninterest expense58 48 50 37 46 10 21 12 26 192 148 44 30 %
Adjusted total noninterest expense$458 $444 $438 $455 $474 $14 3 %$(16)(3)%$1,795 $1,883 $(88)(5)%
Adjusted pre-provision net revenue3
$424 $403 $295 $249 $274 $21 5 %$150 55 %$1,362 $1,222 $140 11 %
Provision for credit losses$45 $60 $30 $(40)$(65)$(15)(25)%$110 NM $95 $(310)$405 131 %
Adjusted net income available to common shareholders$293 $252 $195 $211 $260 $41 16 %$33 13 %$950 $1,140 $(190)(17)%
Adjusted Common Share Data
Adjusted diluted EPS$0.51 $0.44 $0.34 $0.38 $0.48 $0.07 16 %$0.03 6 %$1.68 $2.07 $(0.39)(19)%
Diluted shares8
572 570 569 550 542 2 — %30 6 %566 551 15 3 %
Adjusted effective tax rate19.8 %22.4 %21.7 %22.5 %19.5 %21.5 %21.8 %
Adjusted ROTCE21.7 %17.9 %14.2 %14.7 %17.5 %17.0 %19.3 %
Adjusted efficiency ratio51.7 %52.4 %59.8 %64.6 %63.3 %56.6 %60.6 %
Numbers may not foot due to rounding.
See footnote disclosures on page 22.

10


NOTABLE ITEMS
Quarterly, Unaudited
(In millions)4Q223Q222Q221Q224Q2120222021
Summary of Notable Items:
Purchase accounting gain*$— $— $— $— $— $— $(1)
Gain/(loss) on TRUPS redemption (other noninterest income)— — — — (3)— (26)
IBKC Branch sale gain (other noninterest income)— — — — 4 1 5 
Gain on sale of title services business1 21 — — — 22 — 
Gain related to equity securities investments— 10 — 6 — 16 — 
Gain on sale of mortgage servicing rights— — 12 — — 12 — 
IBKC merger/acquisition expense(4)(3)(13)(28)(38)(49)(187)
TD transaction-related expense (31)(21)(25)(9)— (87)— 
Other notable expenses**(10)— (12)— (16)(22)(26)
Total notable items(45)7 (38)(32)(54)(107)235 
EPS impact of notable items$(0.06)$0.01 $(0.05)$(0.04)$(0.08)$(0.15)$(0.32)
Numbers may not foot due to rounding
* Purchase accounting gain is nontaxable income.
** 4Q22 and 2Q22 includes $10 million and $12 million, respectively of Visa derivative valuation expense; 4Q21 includes $10 million of Visa derivative valuation expense and $6 million of deferred compensation expense.



IMPACT OF NOTABLE ITEMS:
Quarterly, Unaudited
     
(In millions)4Q223Q222Q221Q224Q2120222021
Impacts of Notable Items:
Noninterest income:
Mortgage banking and title$— $— $(12)$— $— $(12)$— 
Other noninterest income(1)(32)— (6)— (38)23 
Total noninterest income$(1)$(32)$(13)$(6)$— $(51)$23 
Noninterest expense:
Personnel expenses:
Salaries and benefits$— $— $1 $(2)$— $(2)$(1)
Incentives and commissions(27)(24)(22)(2)(9)(76)(56)
Deferred compensation expense— — — — (6)— (6)
Total personnel expenses(27)(25)(21)(4)(16)(77)(63)
Occupancy and equipment2
— (1)(1)— — (2)(5)
Outside services(6)(2)(9)(25)(15)(42)(49)
Amortization of intangible assets(1)(1)(1)(1)(1)(3)(3)
Other noninterest expense(11)4 (18)(7)(23)(33)(92)
Total noninterest expense$(46)$(25)$(50)$(37)$(54)$(158)$(212)
Income before income taxes$45 $(7)$38 $32 $54 $107 $235 
Provision for income taxes11 (2)9 7 13 25 56 
Net income/(loss) available to common shareholders$34 $(5)$29 $24 $41 $82 $179 
Numbers may not foot due to rounding

11


FINANCIAL RATIOS
Quarterly, Unaudited
     4Q22 Change vs.2022 vs. 2021
4Q223Q222Q221Q224Q213Q224Q2120222021
FINANCIAL RATIOS$/bp%$/bp%$/bp%
Net interest margin3.89 %3.49 %2.74 %2.37 %2.42 %40 bp147 bp3.10 %2.48 %62 bp
Return on average assets1.35 %1.29 %0.82 %0.90 %1.02 %6 33 1.08 %1.15 %(7)
Adjusted return on average assets4
1.52 %1.27 %0.95 %1.02 %1.21 %25 31 1.18 %1.36 %(18)
Return on average common equity (“ROCE”)14.42 %13.85 %9.12 %9.92 %11.26 %57 316 11.81 %12.53 %(72)
Return on average tangible common equity (“ROTCE”)4
19.14 %18.23 %12.07 %12.98 %14.72 %91 442 15.58 %16.46 %(88)
Adjusted ROTCE4
21.68 %17.89 %14.15 %14.68 %17.51 %379 417 16.96 %19.29 %(233)
Noninterest income as a % of total revenue19.68 %24.30 %27.06 %32.31 %33.10 %(462)(1,342)25.44 %35.04 %(960)
Adjusted noninterest income as a % of total revenue4
19.55 %21.37 %25.68 %31.63 %32.95 %(182)(1,340)24.14 %36.38 %(1,224)
Efficiency ratio57.07 %53.56 %65.76 %69.66 %70.88 %351 (1,381)60.90 %68.25 %(735)
Adjusted efficiency ratio4
51.70 %52.42 %59.79 %64.64 %63.31 %(72)(1,161)56.64 %60.64 %(400)
CAPITAL DATA
CET1 capital ratio*
10.2 %9.9 %9.8 %10.0 %9.9 %24 bp25 bp10.2 %9.9 %27 bp
Tier 1 capital ratio*11.9 %11.7 %11.6 %11.8 %11.0 %22 bp88 bp11.9 %11.0 %92 bp
Total capital ratio*13.3 %13.1 %13.0 %13.2 %12.3 %24 bp99 bp13.3 %12.3 %103 bp
Tier 1 leverage ratio*10.4 %9.8 %9.1 %8.8 %8.1 %57 bp228 bp10.4 %8.1 %226 bp
Risk-weighted assets (“RWA”) (billions)$69.2 $68.6 $67.3 $65.0 $64.2 $1 1 %$5 8 %$69.2 $64.2 $5 7 %
Total equity to total assets 10.83 %10.32 %10.04 %9.81 %9.53 %51 bp130 bp10.83 %9.53 %130 bp
Tangible common equity/tangible assets (“TCE/TA”)4
7.12 %6.64 %6.55 %6.44 %6.73 %48 bp39 bp7.12 %6.73 %39 bp
Period-end shares outstanding (millions)537 537 536 535 534 — — %3 1 %537 534 3 1 %
Cash dividends declared per common share$0.15 $0.15 $0.15 $0.15 $0.15 $— — %$— — %$0.60 $0.60 $— — 
Book value per common share$13.48 $12.99 $13.50 $13.82 $14.39 $0.49 4 %$(0.91)(6)%$13.48 $14.39 $(0.91)(6)%
Tangible book value per common share4
$10.23 $9.72 $10.18 $10.46 $11.00 $0.51 5 %$(0.77)(7)%$10.23 $11.00 $(0.77)(7)%
SELECTED BALANCE SHEET DATA
Loans-to-deposit ratio (period-end balances)91.51 %86.88 %80.13 %74.23 %73.25 %463 bp1,826 bp91.51 %73.25 %1,826 bp
Loans-to-deposit ratio (average balances)88.73 %82.99 %77.25 %72.93 %73.29 %574 bp1,544 bp80.22 %76.98 %324 bp
Full-time equivalent associates7,477 7,569 7,627 7,900 7,863 (92)(1)%(386)(5)%7,642 8,067 (425)(5)%
Certain previously reported amounts have been reclassified to agree with current presentation.
*Current quarter is an estimate.
See footnote disclosures on page 22.
12

CONSOLIDATED PERIOD-END BALANCE SHEET
Quarterly, Unaudited 
     4Q22 Change vs.
(In millions)4Q223Q222Q221Q224Q213Q224Q21
$%$%
Assets:      
Loans and leases:
Commercial, financial, and industrial (C&I)$31,780 $31,620 $31,276 $30,798 $31,068 $160 1 %$712 2 %
Commercial real estate13,228 13,021 12,942 12,487 12,109 207 2 1,119 9 
Total Commercial45,008 44,641 44,218 43,285 43,177 367 1 1,831 4 
Consumer real estate12,253 11,864 11,441 10,874 10,772 389 3 1,481 14 
Credit card and other5
840 849 870 854 910 (9)(1)(70)(8)
Total Consumer13,093 12,712 12,311 11,727 11,682 382 3 1,411 12 
Loans and leases, net of unearned income58,101 57,354 56,529 55,012 54,859 748 1 3,242 6 
Loans held for sale590 680 870 1,014 1,172 (90)(13)(582)(50)
Investment securities10,207 10,103 9,628 9,943 9,419 104 1 788 8 
Trading securities1,375 1,421 1,392 1,823 1,601 (46)(3)(226)(14)
Interest-bearing deposits with banks1,384 3,241 9,475 13,548 14,907 (1,857)(57)(13,523)(91)
Federal funds sold and securities purchased under agreements to resell482 690 712 640 641 (208)(30)(160)(25)
Total interest earning assets72,139 73,489 78,606 81,980 82,600 (1,350)(2)(10,461)(13)
Cash and due from banks1,061 1,193 1,133 1,225 1,147 (132)(11)(86)(7)
Goodwill and other intangible assets, net1,744 1,757 1,782 1,795 1,808 (13)(1)(64)(4)
Premises and equipment, net612 622 636 669 665 (10)(2)(53)(8)
Allowance for loan and lease losses(685)(664)(624)(622)(670)(20)(3)(15)(2)
Other assets4,082 3,903 3,598 3,614 3,542 179 5 539 15 
Total assets$78,953 $80,299 $85,132 $88,660 $89,092 $(1,346)(2)%$(10,139)(11)%
Liabilities and Shareholders' Equity:
Deposits:
Savings$21,971 $22,800 $24,376 $25,772 $26,457 $(829)(4)%$(4,486)(17)%
Time deposits2,887 2,671 2,888 3,165 3,500 216 8 (613)(18)
Other interest-bearing deposits15,165 14,730 16,172 17,126 17,054 435 3 (1,889)(11)
Total interest-bearing deposits40,023 40,202 43,436 46,063 47,012 (178)— (6,988)(15)
Trading liabilities335 383 394 513 426 (48)(13)(91)(21)
Short-term borrowings2,506 1,416 1,953 1,719 2,124 1,089 77 382 18 
Term borrowings1,597 1,597 1,599 1,591 1,590 — — 7 — 
Total interest-bearing liabilities44,461 43,598 47,382 49,885 51,151 863 2 (6,690)(13)
Noninterest-bearing deposits23,466 25,813 27,114 28,052 27,883 (2,347)(9)(4,417)(16)
Other liabilities2,480 2,605 2,085 2,027 1,564 (125)(5)916 59 
Total liabilities70,406 72,016 76,581 79,964 80,598 (1,609)(2)(10,192)(13)
Shareholders' Equity:
Preferred stock1,014 1,014 1,014 1,014 520 — — 494 95 
Common stock336 335 335 334 333 — — 2 1 
Capital surplus4,840 4,812 4,791 4,769 4,742 28 1 98 2 
Retained earnings3,430 3,254 3,079 2,996 2,891 176 5 539 19 
Accumulated other comprehensive loss, net(1,367)(1,427)(963)(711)(288)60 4 (1,080)NM
Combined shareholders' equity8,251 7,987 8,255 8,400 8,199 264 3 53 1 
Noncontrolling interest295 295 295 295 295 — — — — 
Total shareholders' equity8,547 8,283 8,551 8,696 8,494 264 3 53 1 
Total liabilities and shareholders' equity$78,953 $80,299 $85,132 $88,660 $89,092 $(1,346)(2)%$(10,139)(11)%
Memo:
Total Deposits$63,489 $66,014 $70,550 $74,114 $74,895 $(2,525)(4)%$(11,406)(15)%
Unfunded Loan Commitments:
Commercial$22,833 $23,706 $23,251 $21,813 $20,487 $(873)(4)%$2,346 11 %
Consumer$4,329 $4,248 $3,972 $3,882 $3,936 $80 2 %$393 10 %
Numbers may not foot due to rounding. See footnote disclosures on page 22.
13

CONSOLIDATED AVERAGE BALANCE SHEET
Quarterly, Unaudited 
     4Q22 Change vs.2022 vs. 2021
(In millions)4Q223Q222Q221Q224Q213Q224Q2120222021
$%$%$%
Assets:      
Loans and leases:      
Commercial, financial, and industrial (C&I)$31,562 $31,120 $30,963 $30,215 $30,780 $442 1 %$782 3 %$30,969 $32,011 $(1,042)(3)%
Commercial real estate13,095 12,926 12,626 12,229 12,220 169 1 875 7 12,722 12,314 408 3 
Total Commercial44,657 44,046 43,589 42,445 43,001 611 1 1,656 4 43,691 44,325 (634)(1)
Consumer real estate12,049 11,633 11,120 10,769 10,738 416 4 1,311 12 11,397 10,969 428 4 
Credit card and other5
858 864 867 869 943 (6)(1)(85)(9)864 1,005 (141)(14)
Total Consumer12,907 12,496 11,987 11,638 11,681 411 3 1,226 10 12,261 11,974 287 2 
Loans and leases, net of unearned income57,564 56,543 55,576 54,082 54,682 1,021 2 2,882 5 55,952 56,298 (346)(1)
Loans held-for-sale597 761 1,027 1,156 1,252 (164)(22)(655)(52)883 956 (73)(8)
Investment securities10,132 10,315 9,781 9,668 9,269 (182)(2)863 9 9,976 8,623 1,353 16 
Trading securities1,311 1,342 1,509 1,594 1,552 (31)(2)(240)(15)1,438 1,365 73 5 
Interest-bearing deposits with banks2,618 6,341 10,989 14,902 15,065 (3,723)(59)(12,447)(83)8,672 13,123 (4,451)(34)
Federal funds sold and securities purchased under agreements to resell583 661 857 753 650 (78)(12)(67)(10)713 621 92 15 
Total interest earning assets72,805 75,963 79,739 82,155 82,469 (3,158)(4)(9,664)(12)77,635 80,987 (3,352)(4)
Cash and due from banks1,118 1,246 1,281 1,226 1,263 (128)(10)(146)(12)1,217 1,261 (44)(3)
Goodwill and other intangibles assets, net1,750 1,767 1,789 1,802 1,815 (17)(1)(65)(4)1,777 1,836 (59)(3)
Premises and equipment, net616 629 645 655 676 (13)(2)(60)(9)636 712 (76)(11)
Allowances for loan and lease losses(675)(639)(621)(658)(714)(36)(6)39 5 (648)(834)186 22 
Other assets3,907 3,585 3,493 3,407 3,515 321 9 391 11 3,599 3,647 (48)(1)
Total assets$79,521 $82,551 $86,326 $88,587 $89,025 $(3,030)(4)%$(9,504)(11)%$84,217 $87,609 $(3,392)(4)%
Liabilities and shareholders' equity:
Deposits:
Savings$22,477 $23,569 $24,841 $26,330 $26,731 $(1,092)(5)%$(4,254)(16)%$24,292 $27,283 $(2,991)(11)%
Time deposits2,720 2,759 3,040 3,343 3,695 (40)(1)(975)(26)2,963 4,281 (1,318)(31)
Other interest-bearing deposits14,658 15,102 16,273 16,558 15,900 (444)(3)(1,242)(8)15,641 15,688 (47)— 
Total interest-bearing deposits39,855 41,431 44,154 46,230 46,326 (1,576)(4)(6,471)(14)42,896 47,252 (4,356)(9)
Trading liabilities353 372 585 614 556 (19)(5)(203)(36)480 540 (60)(11)
Short-term borrowings1,821 1,711 1,710 1,995 2,249 109 6 (429)(19)1,808 2,308 (500)(22)
Term borrowings1,597 1,598 1,597 1,591 1,575 (1)— 22 1 1,596 1,645 (49)(3)
Total interest-bearing liabilities43,626 45,112 48,046 50,430 50,707 (1,487)(3)(7,081)(14)46,780 51,745 (4,965)(10)
Noninterest-bearing deposits25,021 26,701 27,791 27,926 28,282 (1,681)(6)(3,261)(12)26,851 25,879 972 4 
Other liabilities2,459 2,068 1,875 1,613 1,511 391 19 949 63 2,006 1,505 501 33 
Total liabilities71,106 73,882 77,712 79,969 80,499 (2,776)(4)(9,393)(12)75,638 79,130 (3,492)(4)
Shareholders' Equity:
Preferred stock1,014 1,014 1,014 695 520 — — 494 95 935 506 429 85 
Common stock 336 335 335 334 336 — — (1)— 335 342 (7)(2)
Capital surplus4,826 4,802 4,778 4,753 4,811 24 — 15 — 4,790 4,957 (167)(3)
Retained earnings3,358 3,175 3,051 2,938 2,819 182 6 539 19 3,132 2,583 549 21 
Accumulated other comprehensive loss, net(1,414)(953)(859)(398)(256)(460)(48)(1,157)NM (909)(206)(703)NM
Combined shareholders' equity8,119 8,373 8,318 8,323 8,230 (254)(3)(111)(1)8,283 8,183 100 1 
Noncontrolling interest295 295 295 295 295 — — — — 295 295 — — 
Total shareholders' equity8,415 8,669 8,614 8,619 8,526 (254)(3)(111)(1)8,579 8,478 101 1 
Total liabilities and shareholders' equity$79,521 $82,551 $86,326 $88,587 $89,025 $(3,030)(4)%$(9,504)(11)%$84,217 $87,609 $(3,392)(4)%
Memo:
Total Deposits$64,876 $68,133 $71,945 $74,156 $74,608 $(3,257)(5)%$(9,732)(13)%$69,748 $73,131 $(3,383)(5)%
Numbers may not foot due to rounding. See footnote disclosures on page 22.
14

CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES
Quarterly, Unaudited 
   4Q22 Change vs.2022 vs. 2021
4Q223Q222Q221Q224Q213Q224Q2120222021
(In millions, except rates)Income/ExpenseRateIncome/ExpenseRateIncome/ExpenseRateIncome/ExpenseRateIncome/ExpenseRateIncome/ExpenseIncome/ExpenseIncome/ExpenseRateIncome/ExpenseRateIncome/Expense
$%$%$%
Interest earning assets/Interest income:   
Loans and leases, net of unearned income:
Commercial$607 5.40 %$496 4.47 %$382 3.52 %$339 3.24 %$365 3.37 %$111 22 %$242 66 %$1,823 4.18 %$1,500 3.38 %$323 22 %
Consumer134 4.14 124 3.94 112 3.74 108 3.71 110 3.77 10 8 24 22 479 3.89 468 3.92 11 2 
Loans and leases, net of unearned income742 5.12 619 4.35 494 3.57 447 3.34 475 3.45 123 20 267 56 2,302 4.11 1,970 3.49 332 17 
Loans held-for-sale9 6.34 9 4.91 10 3.89 10 3.51 11 3.49 — — (2)(18)39 4.41 33 3.44 6 18 
Investment securities61 2.41 55 2.14 46 1.87 38 1.59 33 1.43 6 11 28 85 200 2.01 118 1.43 82 69 
Trading securities19 5.79 15 4.55 13 3.43 11 2.75 10 2.50 4 27 9 96 58 4.04 30 2.17 28 93 
Interest-bearing deposits with banks24 3.61 34 2.15 22 0.79 7 0.19 6 0.15 (10)(29)18 NM 87 1.00 17 0.13 70 NM
Federal funds sold and securities purchased under agreements5 3.48 2 2.04 1 0.66 — (0.04)— (0.09)3 NM 5 NM 10 1.38 — (0.08)10 NM
Interest income$860 4.70 %$737 3.86 %$586 2.95 %$513 2.52 %$534 2.58 %$123 17 %$326 61 %$2,696 3.47 $2,170 2.68 $526 24 %
Interest bearing liabilities/Interest expense:
Interest-bearing deposits:
Savings$67 1.19 %$18 0.31 %$5 0.08 %$3 0.05 %$4 0.06 %$49 NM $63 NM $94 0.39 %$36 0.13 %$58 NM
Time deposits6 0.90 2 0.50 4 0.50 4 0.51 5 0.56 4 NM 1 16 18 0.60 25 0.57 (7)(28)
Other interest-bearing deposits39 1.05 21 0.56 9 0.22 4 0.09 4 0.10 18 86 35 NM 73 0.47 20 0.13 53 NM
Total interest-bearing deposits112 1.12 42 0.41 18 0.16 11 0.10 13 0.11 70 NM 99 NM 184 0.43 81 0.17 103 127 
Trading liabilities3 3.59 3 3.03 4 2.52 3 1.69 2 1.38 — — 1 55 12 2.56 6 1.11 6 100 
Short-term borrowings13 2.85 7 2.22 2 0.58 1 0.15 1 0.18 6 86 12 NM 23 1.26 5 0.21 18 NM
Term borrowings19 4.81 18 4.57 17 4.38 17 4.29 17 4.30 1 6 2 12 72 4.51 72 4.37 — — 
Interest expense148 1.35 71 0.63 41 0.34 31 0.25 33 0.26 77 108 115 NM 292 0.62 163 0.32 129 79 
Net interest income - tax equivalent basis712 3.35 666 3.23 545 2.61 482 2.27 502 2.32 46 7 210 42 2,405 2.85 2,006 2.36 399 20 
Fully taxable equivalent adjustment(4)0.54 (4)0.26 (3)0.13 (3)0.10 (3)0.10 — — (1)(27)(13)0.25 (12)0.12 (1)(8)
Net interest income$709 3.89 %$662 3.49 %$542 2.74 %$479 2.37 %$498 2.42 %$47 7 %$211 42 %$2,392 3.10 %$1,994 2.48 %$398 20 %
Memo:
Total loan yield5.12 %4.35 %3.57 %3.34 %3.45 %4.11 %3.49 %
Total deposit cost0.69 %0.25 %0.10 %0.06 %0.07 %0.26 %0.11 %
Total funding cost0.85 %0.39 %0.22 %0.16 %0.16 %0.40 %0.21 %
Net interest income and yields are adjusted to a fully taxable equivalent (“FTE”) basis assuming a statutory federal income tax of 21 percent and, where applicable, state income taxes.
Earning assets yields are expressed net of unearned income.
Loan yields include loan fees, cash basis interest income, and loans on nonaccrual status.
Numbers may not foot due to rounding.
See footnote disclosures on page 22.
15

CONSOLIDATED NONPERFORMING LOANS AND LEASES ("NPL")
Quarterly, Unaudited 
As of 4Q22 change vs.
(In millions, except ratio data)4Q223Q222Q221Q224Q213Q224Q21
$%$%
Nonperforming loans and leases
Commercial, financial, and industrial (C&I)$153 $116 $129 $153 $125 $36 31 %$28 22 %
Commercial real estate9 10 11 12 9 (1)(10)— 2 
Consumer real estate152 163 159 165 138 (11)(7)13 10 
Credit card and other2 3 3 3 3 — (13)— (18)
Total nonperforming loans and leases$316 $292 $301 $332 $275 $24 8 %$41 15 %
Asset Quality Ratio
Nonperforming loans and leases to loans and leases
Commercial, financial, and industrial (C&I)0.48 %0.37 %0.41 %0.50 %0.40 %
Commercial real estate0.07 0.08 0.08 0.09 0.08 
Consumer real estate1.24 1.37 1.39 1.52 1.29 
Credit card and other0.27 0.31 0.29 0.32 0.31 
Total nonperforming loans and leases to loans and leases0.54 %0.51 %0.53 %0.60 %0.50 %
Numbers may not foot due to rounding.



CONSOLIDATED LOANS AND LEASES 90 DAYS OR MORE PAST DUE AND ACCRUING
Quarterly, Unaudited
As of4Q22 change vs.
(In millions)4Q223Q222Q221Q224Q213Q224Q21
$%$%
Loans and leases 90 days or more past due and accruing
Commercial, financial, and industrial (C&I)$11 $1 $1 $6 $5 $10 NM $7 140 %
Commercial real estate— — — — — — NM — NM
Consumer real estate18 17 14 14 33 1 8 (15)(45)
Credit card and other3 6 3 3 2 (2)(38)1 56 
Total loans and leases 90 days or more past due and accruing$33 $24 $17 $23 $40 $9 37 %$(7)(18)%
Numbers may not foot due to rounding.
16


CONSOLIDATED NET CHARGE-OFFS (RECOVERIES)
Quarterly, Unaudited
As of4Q22 change vs.
(In millions, except ratio data)4Q223Q222Q221Q224Q213Q224Q21
Charge-off, Recoveries and Related Ratios$%$%
Gross Charge-offs
Commercial, financial, and industrial (C&I)$24 $13 $12 $13 $5 $11 87 %$19 NM
Commercial real estate— 1 — — — (1)(98)— (26)
Consumer real estate1 1 2 1 2 — 1 (1)(52)
Credit card and other7 7 7 5 4 — 6 3 73 
Total gross charge-offs$32 $21 $21 $19 $11 $11 53 %$21 NM
Gross Recoveries
Commercial, financial, and industrial (C&I)$(3)$(2)$(1)$(3)$(3)$(1)(49)%$1 19 %
Commercial real estate— — (1)— — — (134)— 56 
Consumer real estate(2)(6)(6)(5)(5)4 59 2 48 
Credit card and other(1)(1)(1)(1)(1)— 16 — 1 
Total gross recoveries$(6)$(9)$(9)$(9)$(10)$3 28 %$4 35 %
Net Charge-offs (Recoveries)
Commercial, financial, and industrial (C&I)$21 $11 $11 $10 $1 $10 94 %$20 NM
Commercial real estate— — (1)— — (1)(135)— NM
Consumer real estate(2)(5)(3)(4)(3)4 70 1 50 
Credit card and other6 5 5 4 3 1 11 3 99 
Total net charge-offs$26 $12 $12 $10 $1 $14 113 %$25 NM
Annualized Net Charge-off (Recovery) Rates
Commercial, financial, and industrial (C&I)0.27 %0.14 %0.14 %0.13 %0.01 %
Commercial real estate— 0.01 (0.03)(0.01)(0.01)
Consumer real estate(0.05)(0.17)(0.12)(0.15)(0.10)
Credit card and other2.76 2.46 2.49 1.85 1.26 
Total loans and leases0.18 %0.08 %0.09 %0.07 %0.01 %
Numbers may not foot due to rounding.
17


CONSOLIDATED ALLOWANCE FOR LOAN AND LEASE LOSSES AND RESERVE FOR UNFUNDED COMMITMENTS
Quarterly, Unaudited
As of4Q22 Change vs.
(In millions)4Q223Q222Q221Q224Q213Q224Q21
Summary of Changes in the Components of the Allowance For Credit Losses$%$%
Allowance for loan and lease losses - beginning$664 $624 $622 $670 $734 $40 6 %$(70)(10)%
Charge-offs:
Commercial, financial, and industrial (C&I)(24)(13)(12)(13)(5)(11)(87)(19)NM
Commercial real estate— (1)— — — 1 98 — 26 
Consumer real estate(1)(1)(2)(1)(2)— (1)1 52 
Credit card and other(7)(7)(7)(5)(4)— (6)(3)(73)
Total charge-offs(32)(21)(21)(19)(11)(11)(53)(21)NM
Recoveries:
Commercial, financial, and industrial (C&I)3 2 1 3 3 1 49 (1)(19)
Commercial real estate— — 1 — — — 134 — (56)
Consumer real estate2 6 6 5 5 (4)(59)(2)(48)
Credit card and other1 1 1 1 1 — (16)— (1)
Total Recoveries6 9 9 9 10 (3)(28)(4)(35)
Provision for loan and lease losses:
Commercial, financial, and industrial (C&I)35 32 (2)(36)(40)3 10 74 NM
Commercial real estate(2)8 (12)(3)(9)(10)(130)6 72 
Consumer real estate5 5 16 (3)(18)(1)(12)23 125 
Credit card and other9 7 12 4 3 2 24 6 NM
Total provision for loan and lease losses:
46 52 14 (38)(63)(6)(12)109 NM
Allowance for loan and lease losses - ending$685 $664 $624 $622 $670 $21 3 %$15 2 %
Reserve for unfunded commitments - beginning$88 $80 $64 $66 $68 $8 10 %$20 29 %
Cumulative effect of change in accounting principle— — — — — NM — NM
Acquired reserve for unfunded commitments— — — — — NM — NM
Provision for unfunded commitments(1)8 16 (2)(2)(9)(113)1 50 
Reserve for unfunded commitments - ending$87 $88 $80 $64 $66 $(1)(1)%$21 32 %
Total allowance for credit losses- ending$771 $752 $704 $686 $736 $19 3 %$35 5 %
Numbers may not foot due to rounding.
18


CONSOLIDATED ASSET QUALITY RATIOS - ALLOWANCE FOR LOAN AND LEASE LOSSES
Quarterly, Unaudited
As of
4Q223Q222Q221Q224Q21
Allowance for loans and lease losses to loans and leases
Commercial, financial, and industrial (C&I)0.97 %0.93 %0.88 %0.93 %1.07 %
Commercial real estate1.10 %1.14 %1.09 %1.21 %1.27 %
Consumer real estate1.63 %1.63 %1.60 %1.51 %1.51 %
Credit card and other3.72 %3.32 %3.01 %2.31 %2.14 %
Total allowance for loans and lease losses to loans and leases1.18 %1.16 %1.10 %1.13 %1.22 %
Allowance for loans and lease losses to nonperforming loans and leases
Commercial, financial, and industrial (C&I)202 %253 %213 %188 %268 %
Commercial real estate1,554 %1,422 %1,331 %1,303 %1,671 %
Consumer real estate131 %119 %115 %99 %118 %
Credit card and other1,364 %1,070 %1,021 %730 %699 %
Total allowance for loans and lease losses to nonperforming loans and leases217 %228 %207 %187 %244 %
19

REGIONAL BANKING
Quarterly, Unaudited 
     4Q22 Change vs.2022 vs. 2021
 4Q223Q222Q221Q224Q213Q224Q2120222021
$/bp%$/bp%$/bp%
Income Statement (millions)      
Net interest income$544 $518 $465 $427 $448 $26 5 %$96 21 %$1,954 $1,764 $190 11 %
Noninterest income107 110 114 114 115 (3)(3)(8)(7)444 438 6 1 %
Total revenue650 628 579 541 563 22 4 87 15 2,398 2,202 196 9 %
Noninterest expense322 304 301 306 301 18 6 21 7 1,234 1,139 95 8 %
Pre-provision net revenue3
328 324 277 235 262 4 1 66 25 1,164 1,063 101 10 %
Provision for credit losses30 43 52 (30)(60)(13)(30)90 NM 94 (229)323 141 %
Income before income tax expense298 281 226 265 322 17 6 (24)(7)1,070 1,292 (222)(17)%
Income tax expense70 66 53 63 75 4 6 (5)(7)251 303 (52)(17)%
Net income$228 $215 $173 $203 $247 $13 6 %$(19)(8)%$819 $989 $(170)(17)%
Average Balances (billions)
Total loans and leases$41.1 $40.1 $39.2 $38.0 $37.7 $1.0 2 %$3.4 9 %$39.6 $39.1 $0.5 1 %
Interest-earning assets41.1 40.1 39.2 38.0 37.8 1.0 2 3.3 9 39.6 39.1 0.5 1 
Total assets43.8 42.8 41.9 40.5 40.1 1.0 2 3.7 9 42.3 41.5 0.8 2 
Total deposits59.6 61.9 64.5 66.6 66.6 (2.3)(4)(7.0)(11)63.1 64.8 (1.7)(3)
Key Metrics
Net interest margin6
5.27 %5.15 %4.78 %4.58 %4.74 %12 bp53 bp4.96 %4.53 %43 bp
Efficiency ratio 49.57 %48.43 %52.05 %56.57 %53.45 %114 bp(388)bp51.45 %51.74 %(29)bp
Loans-to-deposits ratio (period-end balances)70.81 %66.77 %62.77 %57.46 %56.03 %404 bp1,478 bp70.81 %56.03 %1,478 bp
Loans-to-deposits ratio (average-end balances)69.02 %64.78 %60.75 %57.02 %56.65 %424 bp1,237 bp62.74 %60.33 %241 bp
Return on average assets (annualized)2.06 %1.99 %1.65 %2.03 %2.44 %7 bp(38)bp1.94 %2.38 %(44)bp
Return on allocated equity7
25.07 %23.97 %19.63 %23.49 %27.83 %110 bp(276)bp23.06 %27.46 %(440)bp
Financial center locations417 417 417 417 427 — — %(10)(2)%417 427 (10)(2)%
Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 22.

Regional Banking segment: Offers financial products and services, including traditional lending and deposit taking, to consumer and commercial customers primarily in the southern and southeastern U.S. and other selected markets. Regional Banking also provides investment, wealth management, financial planning, trust and asset management services for consumer customers.
20


SPECIALTY BANKING
Quarterly, Unaudited 
     4Q22 Change vs.2022 vs. 2021
 4Q223Q222Q221Q224Q213Q224Q2120222021
$/bp%$/bp%$/bp%
Income Statement (millions)      
Net interest income$134 $138 $141 $144 $154 $(4)(3)%$(20)(13)%$557 $620 $(63)(10)%
Noninterest income46 64 96 105 120 (18)(28)(74)(61)312 597 (285)(48)
Total revenue180 202 237 249 274 (22)(11)(94)(34)869 1,217 (348)(29)
Noninterest expense92 104 113 132 129 (12)(12)(37)(29)440 570 (130)(23)
Pre-provision net revenue3
89 98 124 118 146 (9)(10)(57)(39)429 647 (218)(34)
Provision for credit losses18 17 (18)(2)(3)— 2 21 NM 14 (64)78 122 
Income before income tax expense71 81 142 120 149 (10)(13)(78)(52)415 711 (296)(42)
Income tax expense17 20 35 29 36 (3)(13)(19)(52)101 172 (71)(41)
Net income$54 $61 $108 $91 $113 $(8)(13)%$(59)(52)%$314 $539 $(225)(42)%
Average Balances (billions)
Total loans and leases$15.9 $15.9 $15.8 $15.5 $16.3 $— — %$(0.4)(2)%$15.8 $16.5 $(0.7)(4)%
Interest-earning assets18.4 18.6 19.1 19.0 19.8 (0.1)(1)(1.4)(7)18.8 19.5 (0.7)(4)
Total assets19.6 19.7 20.2 20.2 21.0 (0.1)(1)(1.4)(7)20.0 20.8 (0.8)(4)
Total deposits4.3 5.2 6.3 6.5 6.7 (0.9)(17)(2.3)(35)5.6 5.9 (0.3)(6)
Key Metrics
Fixed income product average daily revenue (thousands)$403 $524 $612 $987 $1,123 $(121)(23)%$(720)(64)%$632 $1,436 $(804)(56)%
Net interest margin6
2.89 %2.96 %2.96 %3.07 %3.10 %(7)bp(21)bp2.97 %3.19 %(22)bp
Efficiency ratio 50.91 %51.35 %47.69 %52.77 %46.87 %(44)bp404 bp50.67 %46.85 %382 bp
Loans-to-deposits ratio (period-end balances)426 %378 %268 %256 %264 %4,826 bp16,254 bp426 %264 %16,254 bp
Loans-to-deposits ratio (average-end balances)370 %307 %250 %239 %245 %6,252 bp12,474 bp284 %279 %469 bp
Return on average assets (annualized)1.09 %1.23 %2.13 %1.82 %2.13 %(14)bp(104)bp1.57 %2.59 %(102)bp
Return on allocated equity7
13.30 %14.98 %26.05 %22.81 %25.26 %(168)bp(1,196)bp19.29 %30.36 %(1,107)bp
Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.
See footnote disclosures on page 22.

Specialty Banking segment: Consists of lines of business that deliver product offerings and services with specialized industry knowledge. Specialty Banking’s lines of business include asset-based lending, mortgage warehouse lending, commercial real estate, franchise finance, correspondent banking, equipment finance, mortgage, and title insurance. In addition to traditional lending and deposit taking, Specialty Banking also delivers treasury management solutions, loan syndications, and international banking. Additionally, Specialty Banking has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.
21

CORPORATE
Quarterly, Unaudited
 4Q22 Change vs.2022 vs. 2021
 4Q223Q222Q221Q224Q213Q224Q2120222021
$%$%$/bp%
Income Statement (millions)
Net interest income/(expense)$31 $6 $(64)$(93)$(104)$25 NM $135 130 %$(119)$(390)$270 69 %
Noninterest income21 39 (8)9 11 (18)(47)9 81 60 41 19 47 
Total revenues52 45 (72)(83)(92)7 15 144 NM (59)(349)290 83 
Noninterest expense89 61 75 55 99 29 47 (9)(9)279 386 (106)(28)
Pre-provision net revenue3
(38)(16)(147)(138)(191)(22)(136)153 80 (339)(735)396 54 
Provision for credit losses(3)— (4)(7)(2)(3)NM (1)(50)(13)(17)4 23 
Income before income tax expense(35)(16)(143)(131)(189)(19)(119)154 81 (325)(718)392 55 
Income tax expense (benefit)(23)(8)(39)(35)(59)(15)NM 36 61 (105)(200)95 48 
Net income/(loss)$(12)$(9)$(104)$(96)$(130)$(4)(42)%$118 91 %$(221)$(517)$297 57 %
Average Balance Sheet (billions)    
Interest bearing assets$13.3 $17.3 $21.5 $25.2 $25.0 $(4.0)(23)%$(11.7)(47)%$19.3 $22.4 $(3.1)(14)%
Total assets16.0 20.0 24.1 27.8 27.9 (3.9)(20)(11.9)(42)22.0 25.3 (3.3)(13)%
Numbers may not add to total due to rounding.
Certain previously reported amounts have been reclassified to agree with current presentation.


Corporate segment: Consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, properties, technology, credit risk and bank operations are allocated to the activities of Regional Banking, Specialty Banking, and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of wholesale funding, liquidity, and capital management and allocation. Finally, the Corporate segment includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.


FOOTNOTES
1 Taxable equivalent interest income and interest expense are non-GAAP measures and reconcile to net interest income (GAAP) in the table.
2 Occupancy and Equipment expense includes Computer Software Expense.
3 Pre-provision net revenue is a non-GAAP measure and is reconciled to income before income taxes (GAAP) in the table.
4 Represents a non-GAAP measure and is reconciled to the nearest GAAP measure in the non-GAAP to GAAP reconciliations beginning on page 23.
5 Credit card and other includes an insignificant amount of commercial credit card balances.
6 Net interest margin is computed using total NII adjusted for FTE assuming a statutory federal income tax rate of 21 percent, and, where applicable state taxes.
7 Segment equity is allocated based on an internal allocation methodology.
8 Fourth, Third and Second quarter 2022 include 27.5 million shares related to the full impact of Series G convertible securities issued in connection with TD transaction; First quarter 2022 includes 9.8 million shares related to the one month average impact of these shares.


22

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
($s in millions, except per share data)4Q223Q222Q221Q224Q2120222021
Tangible Common Equity (Non-GAAP)    
(A) Total equity (GAAP)$8,547 $8,283 $8,551 $8,696 $8,494 $8,547 $8,494 
Less: Noncontrolling interest (a)295 295 295 295 295 295 295 
Less: Preferred stock (a)1,014 1,014 1,014 1,014 520 1,014 520 
(B) Total common equity$7,238 $6,974 $7,242 $7,387 $7,679 $7,238 $7,679 
Less: Intangible assets (GAAP) (b)1,744 1,757 1,782 1,795 1,808 1,744 1,808 
(C) Tangible common equity (Non-GAAP)$5,494 $5,217 $5,459 $5,592 $5,871 $5,494 $5,871 
Tangible Assets (Non-GAAP) 
(D) Total assets (GAAP)$78,953 $80,299 $85,132 $88,660 $89,092 $78,953 $89,092 
Less: Intangible assets (GAAP) (b)1,744 1,757 1,782 1,795 1,808 1,744 1,808 
(E) Tangible assets (Non-GAAP)$77,209 $78,542 $83,350 $86,865 $87,284 $77,209 $87,284 
Period-end Shares Outstanding     
(F) Period-end shares outstanding537 537 536 535 534 537 534 
Ratios
(A)/(D) Total equity to total assets (GAAP)10.83 %10.32 %10.04 %9.81 %9.53 %10.83 %9.53 %
(C)/(E) Tangible common equity to tangible assets (“TCE/TA”) (Non-GAAP)7.12 %6.64 %6.55 %6.44 %6.73 %7.12 %6.73 %
(B)/(F) Book value per common share (GAAP)$13.48 $12.99 $13.50 $13.82 $14.39 $13.48 $14.39 
(C)/(F) Tangible book value per common share (Non-GAAP)$10.23 $9.72 $10.18 $10.46 $11.00 $10.23 $11.00 
(a)     Included in Total equity on the Consolidated Balance Sheet.
(b)     Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.


23

CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
($s in millions, except per share data)4Q223Q222Q221Q224Q2120222021
Adjusted Diluted EPS
Net income available to common shareholders ("NIAC") (GAAP)a$258 $257 $166 $187 $219 $868 $962 
Plus Tax effected notable items (Non-GAAP) (a)34 (5)29 24 41 82 179 
Adjusted net income available to common shareholders (Non-GAAP)b$293 $252 $195 $211 $260 $950 $1,140 
Diluted Shares (GAAP)8
c572 570 569 550 542 566 551 
Diluted EPS (GAAP)a/c$0.45 $0.45 $0.29 $0.34 $0.40 $1.53 $1.74 
Adjusted diluted EPS (Non-GAAP)b/c$0.51 $0.44 $0.34 $0.38 $0.48 $1.68 $2.07 
Adjusted Net Income ("NI") and Adjusted Return on Assets ("ROA")
Net Income ("NI") (GAAP)$270 $268 $177 $198 $229 $912 $1,010 
Plus Tax effected notable items (Non-GAAP) (a)34 (5)29 24 41 82 179 
Adjusted NI (Non-GAAP)$304 $263 $206 $223 $270 $994 $1,189 
NI (annualized) (GAAP)d$1,070 $1,063 $709 $801 $910 $912 $1,010 
Adjusted NI (annualized) (Non-GAAP)e$1,206 $1,045 $823 $900 $1,074 $994 $1,189 
Average assets (GAAP)f$79,521 $82,551 $86,326 $88,587 $89,025 $84,217 $87,609 
ROA (GAAP)d/f1.35 %1.29 %0.82 %0.90 %1.02 %1.08 %1.15 %
Adjusted ROA (Non-GAAP)e/f1.52 %1.27 %0.95 %1.02 %1.21 %1.18 %1.36 %
Return on Average Common Equity ("ROCE")/ Return on Average Tangible Common Equity ("ROTCE")/ Adjusted ROTCE
Net income available to common shareholders ("NIAC") (GAAP)g$1,025 $1,020 $666 $756 $868 $868 $962 
Adjusted Net income available to common shareholders (annualized) (Non-GAAP)h$1,161 $1,001 $781 $855 $1,032 $950 $1,140 
Average Common Equity (GAAP)i$7,106 $7,360 $7,305 $7,628 $7,710 $7,348 $7,677 
Intangible Assets (GAAP) (b)1,750 1,767 1,789 1,802 1,815 1,777 1,836 
Average Tangible Common Equity (Non-GAAP)j$5,356 $5,593 $5,516 $5,826 $5,895 $5,571 $5,841 
Equity Adjustment (Non-GAAP)— — — — — 32 71 
Adjusted Average Tangible Common Equity (Non-GAAP)k$5,356 $5,593 $5,516 $5,826 $5,895 $5,603 $5,912 
ROCE (GAAP)g/i14.42 %13.85 %9.12 %9.92 %11.26 %11.81 %12.53 %
ROTCE (Non-GAAP)g/j19.14 %18.23 %12.07 %12.98 %14.72 %15.58 %16.46 %
Adjusted ROTCE (Non-GAAP)h/k21.68 %17.89 %14.15 %14.68 %17.51 %16.96 %19.29 %
(a) Amounts adjusted for notable items as detailed on page 11.
(b)     Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.


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CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
(In millions)4Q223Q222Q221Q224Q2120222021
Adjusted Noninterest Income as a % of Total Revenue
Noninterest income (GAAP)k$174 $213 $201 $229 $247 $816 $1,076 
Plus notable items (GAAP) (a)(1)(32)(13)(6)— (51)23 
Adjusted noninterest income (Non-GAAP)l$173 $181 $188 $222 $246 $765 $1,099 
Revenue (GAAP)m$882 $875 $743 $707 $745 $3,208 $3,070 
Taxable-equivalent adjustment4 4 3 3 3 13 12 
Revenue- Taxable-equivalent (Non-GAAP)886 878 746 710 748 3,221 3,082 
Plus notable items (GAAP) (a)(1)(32)(13)(6)— (51)23 
Adjusted revenue (Non-GAAP)n$885 $847 $733 $704 $748 $3,170 $3,105 
Noninterest income as a % of total revenue (GAAP)k/m19.68 %24.30 %27.06 %32.31 %33.10 %25.44 %35.04 %
Adjusted noninterest income as a % of total revenue (Non-GAAP)l/n19.55 %21.37 %25.68 %31.63 %32.95 %24.14 %36.38 %
Adjusted Efficiency Ratio
Noninterest expense (GAAP)o$503 $468 $489 $493 $528 $1,953 $2,095 
Plus notable items (GAAP) (a)(46)(25)(50)(37)(54)(158)(212)
Adjusted noninterest expense (Non-GAAP)p$458 $444 $438 $455 $474 $1,795 $1,883 
Revenue (GAAP)q$882 $875 $743 $707 $745 $3,208 $3,070 
Taxable-equivalent adjustment4 4 3 3 3 13 12 
Revenue- Taxable-equivalent (Non-GAAP)886 878 746 710 748 3,221 3,082 
Plus notable items (GAAP) (a)(1)(32)(13)(6)— (51)23 
Adjusted revenue (Non-GAAP)r$885 $847 $733 $704 $748 $3,170 $3,105 
Efficiency ratio (GAAP)o/q57.07 %53.56 %65.76 %69.66 %70.88 %60.90 %68.25 %
Adjusted efficiency ratio (Non-GAAP)p/r51.70 %52.42 %59.79 %64.64 %63.31 %56.64 %60.64 %
(a) Amounts adjusted for notable items as detailed on page 11.
(b)     Includes goodwill and other intangible assets, net of amortization.
Numbers may not foot due to rounding.
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CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION
Quarterly, Unaudited
($s in millions)
4Q22 vs 3Q22
NII/NIM AnalysisNII%NIM
4Q22 Reported (FTE) $712 3.89 %
Less: non-core items
PPP coupon income and fees0— 
Loan Accretion70.04 
IBKC Premium Amortization(6)(0.03)
4Q22 Core (FTE) (Non-GAAP)$711 8 %3.89 %
3Q22 Reported (FTE)$666 3.49 %
Less: non-core items
PPP coupon income and fees2— 
Loan Accretion120.07 
IBKC Premium Amortization(7)(0.04)
3Q22 Core (FTE) (Non-GAAP)$659 3.45 %
Numbers may not foot due to rounding.

Period-endAverage
($s in millions)4Q223Q224Q22 vs. 3Q224Q223Q224Q22 vs. 3Q22
Loans excluding LMC & PPP$%$%
Total Loans (GAAP)$58,101 $57,354 $747 1 %$57,564 $56,543 $1,021 2 %
PPP (GAAP)76129(53)(41)%121204(83)(41)%
LMC (GAAP)2,2582,710(452)(17)%2,2992,917(617)(21)%
Total Loans excl. LMC & PPP (Non-GAAP)55,76754,5141,253 2 %55,14453,4221,722 3 %
Total Consumer (GAAP)13,09312,712381 3 %12,90712,496411 3 %
Total Commercial excl. LMC & PPP (Non-GAAP)42,674 41,802 872 2 %42,237 40,926 1,311 3 %
Total CRE (GAAP)13,22813,021207 2 %13,095 12,926 169 1 %
Total C&I excl. LMC & PPP (Non-GAAP)$29,446 $28,781 $665 2 %$29,142 $28,000 $1,142 4 %
Loans excluding PPP
Total Loans (GAAP)$58,101 $57,354 $747 1 %$57,564 $56,543 $1,021 2 %
PPP (GAAP)76129(53)(41)%121204(83)(41)%
Total Loans excl. PPP (Non-GAAP)58,025 57,224 801 1 %57,443 56,339 1,104 2 %
Total Consumer (GAAP)13,09312,712381 3 %12,90712,496411 3 %
Total Commercial excl. PPP (Non-GAAP)$44,932 $44,512 $419 1 %$44,536 $43,843 $693 2 %
Numbers may not foot due to rounding.
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GLOSSARY OF TERMS
Common Equity Tier 1 Ratio: Ratio consisting of common equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, less disallowed portions of goodwill, other intangibles, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.
 
Fully Taxable Equivalent (“FTE”): Reflects the amount of tax-exempt income adjusted to a level that would yield the same after-tax income had that income been subject to taxation.
 
Tier 1 Capital Ratio: Ratio consisting of shareholders’ equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, plus qualifying portions of noncontrolling interests, less disallowed portions of goodwill, other intangible assets, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.

Key Ratios
Return on Average Assets: Ratio is annualized net income to average total assets.
 
Return on Average Common Equity: Ratio is annualized net income available to common shareholders to average common equity.
 
Return on Average Tangible Common Equity: Ratio is annualized net income available to common shareholders to average tangible common equity.
 
Noninterest Income as a Percentage of Total Revenue: Ratio is noninterest income to total revenue - taxable equivalent.
 
Efficiency Ratio: Ratio is noninterest expense to total revenue - taxable equivalent .
 
Leverage Ratio: Ratio is tier 1 capital to average assets for leverage.

Asset Quality - Consolidated Key Ratios
Nonperforming loans and leases ("NPL") %: Ratio is nonaccruing loans and leases in the loan portfolio to total period-end loans and leases.
 
Net charge-offs %: Ratio is annualized net charge-offs to total average loans and leases.
 
Allowance / loans and leases: Ratio is allowance for loan and lease losses to total period-end loans and leases.
 
Allowance / Nonperforming loans and leases: Ratio is allowance for loan and lease losses to nonperforming loans and leases in the loan portfolio.
 
Allowance / charge-offs: Ratio is allowance for loan and lease losses to annualized net charge-offs.

Operating Segments
Regional Banking segment: Offers financial products and services, including traditional lending and deposit taking, to consumer and commercial customers primarily in the southern and southeastern U.S. and other selected markets. Regional Banking also provides investment, wealth management, financial planning, trust and asset management services for consumer customers.

Specialty Banking segment: Consists of lines of business that deliver product offerings and services with specialized industry knowledge. Specialty Banking’s lines of business include asset-based lending, mortgage warehouse lending, commercial real estate, franchise finance, correspondent banking, equipment finance, mortgage, and title insurance. In addition to traditional lending and deposit taking, Specialty Banking also delivers treasury management solutions, loan syndications, and international banking. Additionally, Specialty Banking has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.

Corporate segment: Consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, properties, technology, credit risk and bank operations are allocated to the activities of Regional Banking, Specialty Banking, and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of wholesale funding, liquidity, and capital management and allocation. Finally, the Corporate segment includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.

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